STMicroelectronics, Enel Partner on Smart Meters in Spain

Italian power company Enel (ENEL.MI) has chosen STMicroelectronics (NYSE: STM) to provide the semiconductor components for new electronic power meters destined for distribution in Spain. The power meters are key elements of the new remote management solution to be installed by Enel’s subsidiary Endesa (NYSE: ELE), the largest electricity supplier in Spain.

Financial terms of the deal were not disclosed.

Over a period of six years (2010-2015), Endesa will complete the replacement of more than 13 million traditional electricity meters, installed in its customers’ houses, with the new generation of Enel smart meters. Enel has already successfully implemented a similar remote-management system, also using chips from ST, to serve more than 35 million customers in Italy.

“By applying ST’s extensive portfolio and know-how, Endesa will use intelligent power metering to reduce the cost to the consumer while simultaneously increasing the efficiency of the electricity supply industry, thereby reducing Spain’s carbon footprint,” said Carmelo Papa, Executive Vice President and General Manager of ST’s Industrial and Multisegment Sector.

ST will provide a complete smart-metering solution that includes a power-line communication System-on-Chip (ST758x), which is the heart of the system, a powerful 32-bit microcontroller (STM32), and an innovative power-supply device, as well as MOSFET and EEPROM memory devices, as the basis of the new electronic power meter for Endesa.

Moreover, as announced by Enel, the Power Line Communication protocol (SITRED), applied in this new generation of remote meter management solutions, will be open to the market. ST said this is a fundamental and tangible step towards the standardization process launched by the European Community towards Smart Grid development.

The upcoming meter roll-out by Endesa places ST first in the line to exploit this new scenario, thanks to its long-standing relationship with Enel.

In addition to the new power-line modem platform, ST’s portfolio includes a microcontroller family to control the meter functions and several power supplies.

STMicroelectronics aims to be the undisputed leader in multimedia convergence and power applications leveraging its array of technologies, design expertise and combination of intellectual property portfolio, strategic partnerships and manufacturing strength. In 2008, the Company’s net revenues were $9.84 billion.